Deed in lieu or sit it out?

[seriously]

hi all,

I'm in NY state, chap 7 BK was discharged in Nov 2009, house included in BK, haven't paid mortgage since May 09. Was planning to move out of state in April, but got delayed due to a medical issue. I am now planning to move in Sept when my medical treatments are complete, but I need to stay in the house til then. HOWEVER--I would really like to "wrap things up" with this place and get the deed out of my name so I don't have to pay ins, etc while I am living halfway across the country. Wanna start my new life and be DONE with the old!

Got a letter from the bank's atty (form letter) outlining several "options" instead of FC. Called my lawyer to ask if any of the options would get the deed out of my name faster than FC--she said it was fine to chat with bank atty about DIL.

Does anyone know about how long a DIL takes to get wrapped up, or does it vary widely just like FC? Or if anyone has any thoughts/advice on which path I should pursue, that would be awesome as well

thanks for reading!

[jlmaca]

hi all,

I'm in NY state, chap 7 BK was discharged in Nov 2009, house included in BK, haven't paid mortgage since May 09. Was planning to move out of state in April, but got delayed due to a medical issue. I am now planning to move in Sept when my medical treatments are complete, but I need to stay in the house til then. HOWEVER--I would really like to "wrap things up" with this place and get the deed out of my name so I don't have to pay ins, etc while I am living halfway across the country. Wanna start my new life and be DONE with the old!

Got a letter from the bank's atty (form letter) outlining several "options" instead of FC. Called my lawyer to ask if any of the options would get the deed out of my name faster than FC--she said it was fine to chat with bank atty about DIL.

Does anyone know about how long a DIL takes to get wrapped up, or does it vary widely just like FC? Or if anyone has any thoughts/advice on which path I should pursue, that would be awesome as well

thanks for reading!

Since you have bk'd I'm assuming you did not reaffirm the mortgage or anything like that.... Check with your lender and see if they are participating in HAMP ( Making Home Affordable Mod Program). If so then apply for HAFA (Home Affordable Foreclosure Alternatives).

HAFA allows you to do a short sale or DIL with the cooperation of the lender so it does not take forever. Also if you complete HAFA, they give you a check for $3,000. I just applied for HAFA and I'm waiting for their decision if I qualify or not. Even if you don't qualify for HAFA many lenders are still pretty motivated to do DIL.

[GettingGoing]

Since you have bk'd I'm assuming you did not reaffirm the mortgage or anything like that.... Check with your lender and see if they are participating in HAMP ( Making Home Affordable Mod Program). If so then apply for HAFA (Home Affordable Foreclosure Alternatives).

HAFA allows you to do a short sale or DIL with the cooperation of the lender so it does not take forever. Also if you complete HAFA, they give you a check for $3,000. I just applied for HAFA and I'm waiting for their decision if I qualify or not. Even if you don't qualify for HAFA many lenders are still pretty motivated to do DIL.

Does anyone know if its possible to negotiate with the lender to not a the public record for a DIL or a short sale or is this required by law?

[seriously]

Since you have bk'd I'm assuming you did not reaffirm the mortgage or anything like that.... Check with your lender and see if they are participating in HAMP ( Making Home Affordable Mod Program). If so then apply for HAFA (Home Affordable Foreclosure Alternatives).

HAFA allows you to do a short sale or DIL with the cooperation of the lender so it does not take forever. Also if you complete HAFA, they give you a check for $3,000. I just applied for HAFA and I'm waiting for their decision if I qualify or not. Even if you don't qualify for HAFA many lenders are still pretty motivated to do DIL.

thanks for this info. I looked into it online but it says in the paperwork that if you file for BK it is null and void... looks like something I would have had to do instead of including house in BK. but thanks for noting it. $3k to move sure would be nice I hope it works out for you...

[seriously]

Does anyone know if its possible to negotiate with the lender to not a the public record for a DIL or a short sale or is this required by law?

I'm pretty sure it's required by law and there's nothing anyone can do about it.

[jlmaca]

thanks for this info. I looked into it online but it says in the paperwork that if you file for BK it is null and void... looks like something I would have had to do instead of including house in BK. but thanks for noting it. $3k to move sure would be nice I hope it works out for you...

I read if the Trustee agrees to HAFA it can go forward even if the house is in bankruptcy. https://www.hmpadmin.com/portal/docs/hafa/sd0909r.pdf